Major Aussie Retailer Set To Refund $10 MILLION To Customers

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Posted on November 09, 2016

Payday lender Cash Converters will refund customers millions of dollars in fees and an infringement notice after an official investigation by the ASIC (Australian Securities and Investments Commission)

Reports say the ASIC was concerned that Cash Converters failed to make reasonable inquiries into consumers' income and expenses for about 118,000 small amount credit contracts or loans processed through its website. They loans they issued were "unsuitable"

(Image: Perth Now)

According to The ABC, Cash Converters has paid a total of $1.35 million for 30 infringement notices from ASIC and has also agreed to refund eligible consumers $10.8 million in fees through a remediation program overseen by an independent expert.

Consumers who had two or more small amount loans in the 90 days before taking out another small amount loan through Cash Converters' website during the period 1 July 2013 to 1 June 2016 will be contacted with information about their refund.

People are advised to lodge a complaint with the Credit and Investment Ombudsman if they believe they entered a loan contract with Cash Converters either in-store on online that was unsuitable.